Slide 1: SEC receipt barcode page
/ 671 110320170026 SECURITIES AND EXCHANGE COMMISSION SECBuilding, EDSA, Greenhills, MandaluyongCity, MetroManila, Philippines Tel:(632) 726-0931 to 39 Fax:(632) 725-5293 Email: mis@sec.gov. ph Barcode Page The following document has been received: Receiving Officer/Encoder : Ramon L. Legaspi Receiv
Slide 2: SEC Cover Sheet
COVER SHEET [s|t[olsle I*Je}+Jelelolm] | IOGE 2) 7) 1) F Ti H G/L} O; BJ E T |O|W/E JR 3) 2) N| D s E|T e |r| 7|T a] [al viel yj ule B)O;|N]I |} F/AIC ef cPof sia] eu] [ef [rly |riafspulrie (Business Address: No. Street City / Town / Province) ROSEMARIE MANIEGO-EALA 142 3) 1 Month Day Fiscal Year De
Slide 3: SEC Form 17-C Current Report
SECURITIES AND EXCHANGE COMMISSION SEC FORM 17-C CURRENT REPORT UNDER SECTION 17 OF THE SECURITIES REGULATIONS CODE (SRC) AND SRC RULE 17(a)-1(b)(3) THEREUNDER 1, 3 November 2017 Date of Report (Date of earliest event ‘reported) 20 ANT, csuusuannuann 3 ,,000°768-480-000 svn SEC Identification Number
Slide 4: 3Q17 Analysts' Briefing
3Q17 ANALYSTS’ BRIEFING 6 November 2017 | The Globe Tower BGC
Slide 5: Record performance on the continued strength of data services
Record performance on the continued strength of data services SERVICE REVENUES SERVICE REVENUES +6% • Record revenues again +9% PHP 95.1 YoY powered by data services PHP 32.2 vs. 3Q16 9 BILLION BILLION 3 EBITDA EBITDA M +8% • Record EBITDA driven by +12% Q 40.6 13.4 record revenues vs. 3Q16 YoY PHP
Slide 6: Broad-based growth led by mobile, home broadband and corporate data
Broad-based growth led by mobile, home broadband and corporate data MOBILE HOME BROADBAND CORPORATE DATA FIXED LINE VOICE TOTAL 9M17 vs. 9M16 +7% +8% +4% -5% +6% 3Q17 vs. 3Q16 +10% +7% +6% -5% +9% MOBILE SUBSCRIBERS* BROADBAND SUBSCRIBERS 59.3M 9M17 1.26M -9% +9% 65.4M 9M16 1.15M TM Prepaid Postpaid
Slide 7: Data-related revenues up 14%, now 53% of service revenues
Data-related revenues at ~Php51bn, up 14% and now accounts for 53% of total service revenues * Normalized Mobile Data Revenues growth after adjusting for the impact of the Free +28%* Facebook promotion 430 31.3B PB 26.1B 11.7B 53% 55% 10.9B 249 49% PB 7.3B 7.6B 42% +20% +8% +4% +4 +13 +73% ppts ppts
Slide 8: New products and services launched to enrich the Filipino digital lifestyle
New products and services launched to enrich the Filipino digital lifestyle New Globe At Home Plans with no New Globe HomeSurf Promos New Globe At Home App for easy commitment, no lock-up period for Prepaid LTE Home WiFi account monitoring Jollibee partners with Globe Business to expand express Glob
Slide 9: Update on Mynt and GCash: Bringing financial inclusion via Fintech
Update on Mynt and GCash: Bringing financial inclusion to more Filipinos via Fintech • All parties closed and completed the transaction. • Ant Financial and Ayala invested a total of USD55M based on a post- money valuation of USD100M. • Post-closing, Globe holds • GCash and Facebook partner a 45% ow
Slide 10: Financial Highlights
_ - WONDERFUL. “= CREATE Peas ~. ae
Slide 11: Record results, with revenue growth and EBITDA margin in line with guidance
Record results, with revenue growth and EBITDA margin in line with FY2017 guidance YoY VTI Mynt 9M17 YoY QoQ 9M17 9M16 % Impact Impact normalized % 3Q17 2Q17 % Gross Service Revenues 95,139 89,528 6% 95,139 6% 32,238 31,779 1% OPEX and Subsidy (54,515) (52,017) 5% (54,515) 5% (18,873) (17,836) 6% EB
Slide 12: Record EBITDA driven by record revenues, despite higher operating expenses
Record EBITDA driven by record revenues, despite higher operating expenses 1,155 1,413 541 In Php Mn 5,611 1,752 1,029 40,624 37,511 YoY +8% 9M16 EBITDA Inc. in Dec. in Inc. in Staff Dec. in Inc. in Inc. in 9M17 EBITDA Revenues Interconnect Costs Marketing & Network Costs Provisions, Charges Subsidy
Slide 13: Reported NIAT increased by 11% due to one-time Mynt gain
Reported NIAT increased by 11%, due to the one-time gain from the Mynt transaction; on a normalized basis, NIAT grew +3% In Php Mn 3,113 2,716 777 92 12,981 937 1,794 11,716 12,124 +11% YoY +3% 9M16 Reported Change in Inc in Dec in Non- Dec in Tax 9M17 Reported SMC Impact Mynt Impact 9M17 Net Income
Slide 14: Capex for 9M17 at PHP36.8B, 84% for data-related requirements
Capex for 9M17 at PHP36.8B or USD731M*, with 84% spending for data-related requirements CAPEX BREAKDOWN (in Php) 3Q17 ROLLOUT UPDATE +870 36.7B 36.8B 7% 32.1B 10% 2% 8% 14% LTE SITES 7% 11% +~145K 30% 21.2B 10% 15% 27% 65% 84% HOME BROADBAND 15% SUBSCRIBER LINES 48% 49% • Globe Board approves additi
Slide 15: Key gearing ratios remain well within covenant levels
Key gearing ratios remain well within covenant levels Gross Debt Gross D/E Gross Debt/EBITDA PHP 127.6 1.90x Covenant = 2.5:1 2.34x Covenant = 3:1 BILLION 4Q17 DIVIDENDS RECORD DATE: November 17, 2017 PHP 22.75 PER SHARE PAYMENT DATE: December 1, 2017 12
Slide 16: Create.Wonderful.
CREATE.WONDERFUL. aS «Yo Globe Lol
Slide 17: Historical Consolidated Gross / Net Service Revenues and EBITDA Margin
Appendix 1 Historical Consolidated Gross / Net Service Revenues and EBITDA Margin 2015 2016 2017 (In Million Pesos) 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q CONSOLIDATED SERVICE REVENUES Mobile 21,635 22,826 23,052 23,730 23,148 22,778 22,577 23,752 23,799 24,520 24,794 Mobile Voice 9,191 9,556 9,315 9,065
Slide 18: Mobile Subscribers, Net Adds, Churn Rates and Gross ARPUs
Appendix 2 Mobile Subscribers, Net Adds, Churn Rates and Gross ARPUs 2015 2016 2017 Subscribers 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q Globe Postpaid 2,458,045 2,517,215 2,561,290 2,597,027 2,564,148 2,521,218 2,508,800 2,489,719 2,467,069 2,460,671 2,473,374 Globe Prepaid 22,214,373 23,287,012 24,391,990
Slide 19: Reconciliation of Net Income to Core Net Income
Appendix 3 Reconciliation of Net Income to Core Net Income (in Million Pesos) 3Q17 3Q16 % Change 2Q17 % Change Reported Net Income After Tax 4,893 2,742 78% 4,327 13% Deferred Tax on Unexercised 26 29 -11% 8 221% Stock Options Add (deduct) Forex loss (gain) 155 203 -23% (60) -357% Other Adjustments